US collaborates with Japan, Mexico, EU on critical minerals; Nasdaq proposes new IPO rules.

US Collaborates with Japan, Mexico, and EU on Critical Mineral Resources

The Trump administration announced on Wednesday that the United States will collaborate with Japan, Mexico, and the European Union to develop critical mineral resources essential for defense and other industries.

Key Points of the Agreement

• The proposed agreement aims to identify critical minerals needed for specific industries and create policies to encourage their mining and processing.
• A joint statement from the involved governments indicated that a memorandum of understanding will be reached within 30 days to support mining, refining, processing, and recycling projects.
• The U.S. Trade Representative's office stated that a similar action plan will be implemented with Mexico within the next 60 days.
• U.S. Vice President Vance mentioned the establishment of a "preferential trade zone" for critical minerals, which will involve setting minimum prices and imposing tariffs on countries outside this trade zone.

Middle East Leaders Lobby for US-Iran Negotiations

On February 4, it was reported that several Middle Eastern leaders successfully lobbied the Trump administration to resume the U.S.-Iran nuclear negotiations originally scheduled for February 6. The talks will now take place in Oman after the U.S. previously rejected Iran's proposal to change the meeting location from Istanbul to Oman.

U.S. Labor Statistics Bureau Delays Employment Reports

The U.S. Bureau of Labor Statistics (BLS) has postponed the release of the January employment report to February 11, along with the consumer price index (CPI) report to February 13, and the December job vacancies report to February 5.

U.S. Treasury Secretary on Bitcoin

U.S. Treasury Secretary Scott Bessenet testified that the government has no authority to bail out Bitcoin or instruct banks to hold cryptocurrencies, emphasizing that taxpayer funds cannot be used for such investments.

EU Resumes Trade Agreement Process with the U.S.

Following Trump's retraction of threats regarding Greenland, the European Parliament has agreed to restart the approval process for the previously frozen EU-U.S. trade agreement. A vote is expected on February 24, although skepticism remains among some influential EU lawmakers.

U.S. Oil Inventory Decline

The EIA reported a significant drop in U.S. oil inventories, with a decrease of 3.455 million barrels last week, the largest decline since 2016 for this period.

Nasdaq Proposes New Inclusion Rules for IPOs

Nasdaq plans to adjust its flagship index inclusion rules to establish a "fast track" for large IPOs, aiming to reflect market conditions more timely and adapt to the new normal of high valuations for tech giants.

Mixed Performance in U.S. Stock Market

The U.S. stock market showed mixed results, with the Dow Jones Industrial Average rising by 0.53%, while the Nasdaq Composite fell by 1.51%, breaking below the 100-day moving average.

Google's Strong Q4 Earnings

Google's Q4 revenue exceeded expectations at $113.83 billion, with significant investments in AI technology, including a partnership with Anthropic for AI chips.

Qualcomm's Disappointing Outlook

Qualcomm's stock fell over 9% after a lackluster earnings forecast raised concerns about unstable demand for mobile chips.

BYD's Sales Surge in Germany

BYD's sales in Germany skyrocketed by 1000%, selling 2,629 vehicles in January, significantly outpacing Tesla's 1,301 registrations.

Hong Kong Stock Market Update

On February 4, net purchases of Hong Kong stocks reached HKD 13.373 billion, with Tencent Holdings receiving over HKD 2.2 billion in net buys.

Conclusion

The U.S. is actively engaging in international collaborations and addressing domestic economic indicators, while companies are navigating a complex market landscape with varying performances across sectors.